China is cautiously welcoming the new 'Phase One' deal struck with the US, but the trade war is far from over
- The US and China agreed a preliminary "Phase One" deal in their ongoing trade war on Friday.
- The deal will mean reduced tariffs on both sides, and China will buy up more American farm products.
- Chinese officials and media seem cautiously optimistic about the deal, but warned that the full text still needs to undergo extensive legal and translation review.
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The two countries announced a "Phase One" agreement Friday under which both sides will reduce tariffs and China will buy more US farm products. Chinese officials said the nine-chapter text, which includes intellectual property, technology transfer, financial services and dispute settlement, has to undergo legal and translation review before it can be signed.At a late night news conference, timed to coincide with the US morning, the officials said the United States would begin phasing out tariffs on Chinese imports, rather than continue to raise them. The deal was announced just two days before higher tariffs were set to kick in. China will make similar tariff cuts, the officials said, but they gave no details.
China portrayed the agreement as in line with the opening up of its economy and the deepening of its economic reforms. Increased imports of high-quality products from the US and elsewhere will "meet the growing needs of the people for a better life," Wang Shouwen, a deputy commerce minister and trade negotiator, said in a statement.The Global Times, a state-owned newspaper known for its nationalistic views, called the agreement a new beginning. It pointed to stock market gains in recent days as word of a possible deal leaked. The dispute between the world's two largest economies had rattled markets and depressed global growth."China and the US have been locked in a trade war for about 20 months and neither side could overwhelm the other to recklessly impose its own will on the other," the newspaper said.
It added, though, that both countries are capable of prolonging the trade war, and that they must be willing to compromise if they want to resolve their differences through patient negotiations.
"Rome was not built in a day," it wrote
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